Stock Maket Trader Letter, June 2, 2008
The Week Ahead: A major consumer sentiment reading reached a 28 year low with soaring food and gas prices lowering the potential for other discretionary purchases. Look for the ISM Manufacturing Index and construction spending numbers on Monday. Auto sales and factory orders are due Tuesday. Oil and gas inventories along with the ISM non-Manufacturing Index are out on Wednesday. Chain store sales and jobless claims are released Thursday. Finally, Friday brings the all important employment report for May.
Stocks to Watch: Harris Corporation (HRS), according to the Wall Street Journal, has received preliminary bids in the low 70's for its shares and may entertain one of these bids if it can't get the $75-$80 it hopes to get. Penn Virginia (PVA) successfully tested for natural gas at its east Texas well while Goodrich Petroleum (GDP) was upgraded by a major brokerage as it will benefit from this same east Texas area natural gas find. Hexcel Corp. (HXL) signs a $4-5 billion contract with Airbus to supply carbon fiber materials.
Special Note: Computer and Telecom have been market leaders over the past week as investors bet on a more resilient economy. Technology has outperformed now for 7 straight weeks. With the markets down only 4-5% for 2008 despite consumer sentiment at deep lows, and 12 consecutive months of mutual fund outflows along with a quadrupling of short selling, many bulls see these as contrary indicators for a rising market ahead while bears may see these as the beginning of a larger downtrend.
Commentary provided by Barry Ward, Registered Principal, NobleTrading.com, Inc.
To view all of NobleTrading's historical newsletters, click here.
Click here to open an account.
NobleTrading Direct Access Trading
email: info@nobletrading.com
phone: 877.872.3311
web: http://www.nobletrading.com
Stocks to Watch: Harris Corporation (HRS), according to the Wall Street Journal, has received preliminary bids in the low 70's for its shares and may entertain one of these bids if it can't get the $75-$80 it hopes to get. Penn Virginia (PVA) successfully tested for natural gas at its east Texas well while Goodrich Petroleum (GDP) was upgraded by a major brokerage as it will benefit from this same east Texas area natural gas find. Hexcel Corp. (HXL) signs a $4-5 billion contract with Airbus to supply carbon fiber materials.
Special Note: Computer and Telecom have been market leaders over the past week as investors bet on a more resilient economy. Technology has outperformed now for 7 straight weeks. With the markets down only 4-5% for 2008 despite consumer sentiment at deep lows, and 12 consecutive months of mutual fund outflows along with a quadrupling of short selling, many bulls see these as contrary indicators for a rising market ahead while bears may see these as the beginning of a larger downtrend.
Commentary provided by Barry Ward, Registered Principal, NobleTrading.com, Inc.
To view all of NobleTrading's historical newsletters, click here.
Click here to open an account.
NobleTrading Direct Access Trading
email: info@nobletrading.com
phone: 877.872.3311
web: http://www.nobletrading.com
posted by Daniel Pipitone at
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